LIGNET: Central Banks Will Force Gold Price Higher

Gold bars are displayed at a shop in Tokyo. The price of gold rose from $253 an ounce in 1999 to $1,895 in 2011. Some analysts say gold is set to rise again and could hit $2,000 an ounce in early 2013 as central banks keep interest rates low through quantitative easing. (YOSHIKAZU TSUNO/AFP/Getty Images)

Gold is no longer the “barbarous relic” that John Maynard Keynes, the famous economist, once described. In fact, it is now closer than it’s been in more than a half century to being perceived as “actual” money. And though it has risen in value 700 percent since 1999, it’s likely that it will go higher still as central banks do what central banks have never before done in the history of the world: attempt to steer the economy away from the brink by controlling the flow of money.

Gold is no longer the “barbarous relic” that John Maynard Keynes, the famous economist, once described. In fact, it is now closer than it’s been in more than a half century to being perceived as “actual” money.